Re: NYTimes.com Article: Messages From Perot Systems Show It

[Harry Veeder <eo200@xxxxxxxxxxxxxxxxxxx>]

>
> This article from NYTimes.com
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> Messages From Perot Systems Show It Approached Edison
>
> June 22, 2002
> By THE ASSOCIATED PRESS
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> SACRAMENTO, June 21 (AP) - Internal e-mail messages among
> employees at the Perot Systems Corporation show that the
> company approached Edison International with an offer to
> advise the energy company on how to manipulate California's
> market, either to make money or so Edison could be "alert
> to others trying to pick their pockets."
>
> The messages were among five boxes of documents Perot
> Systems delivered to the Senate committee investigating the
> software company's role in advising companies accused of
> gouging electricity customers. In the May 1997 exchange of
> e-mail messages, Perot employees discuss partnering with a
> consultant, George Backus, to advise Edison on how to take
> advantage of "holes" in California's emerging energy
> market.
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> An Edison spokesman, Gil Alexander, said the utility did
> not hire Mr. Backus or Perot Systems because it had an
> incentive to keep wholesale prices lower, because it was
> selling power under a retail rate cap.
>
> H. Ross Perot, a former presidential candidate and chairman
> of Perot Systems, plans to testify July 11 at the Senate
> Select Committee to Investigate Price Manipulation of the
> Wholesale Energy Market.
>
> The California attorney general subpoenaed the documents,
> which were also delivered to the committee.
>
> Perot Systems said it would also provide the material to
> the Securities and Exchange Commission and the company
> posted the documents on its Web site.
>
> Mr. Backus said Thursday that he had not been asked to
> testify before the California Legislature yet, but was
> asked by the committee to retain any documents pertaining
> to Perot Systems and California.
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> He declined further comment and referred calls to his
> lawyer, Tim Beyer, who said he had not yet reviewed the
> documents and could not comment.
>
> An economist hired by Perot Systems blamed lawmakers and
> regulators for California's troubles. The economist, Steven
> Stoft, author of a book on designing electricity markets,
> said the rules for California's market were flawed.
>
> http://www.nytimes.com/2002/06/22/business/22ENER.html?ex=1025756116&ei=1&en=7
> 804af61ea5c50db
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